8 Steps To Successful Commercial Fit Out Construction

steps successful commercial fit out construction building

A commercial fit-out construction refers to the activity of preparing the interior space of the building suitable for the tenants. Either the landlord or the tenant will shoulder the expenses for developing the indoor area of the facility.

Generally, the tenants cover the construction costs to make it commercially viable for their business operations. In this way, they will know how to estimate the expenses, and they can have their engineer and architect team to manage the design and structure of the facilities. 

In most cases, the commercial fit-out involves the construction of the base flooring, walls, ceilings, stairs or elevator, furniture and fixture, shelving, and lighting. They need to ensure that the HVAC, plumbing, and electricity are working efficiently for their indoor business operations. Moreover, they also need to check the safety of the office’s structure, such as the stairs, elevators, wirings, power supply, etc. 

We summarize the eight steps to manage your commercial fit-out construction successfully. Let’s start, shall we? 

1. Prepare Your Budget And Time 

Have you tried checking first the financial position and performance of the company? Does your income statement show that you can afford to pay the construction expenses? Does your balance sheet show that you have enough assets and equity to cover for your liabilities? If you’re able to meet both the liquidity and solvency of the company’s cash flow, then you are ready to plan for the commercial fit-out construction. 

Aside from the financial check, you must estimate the time that you need to spend on office interior development. In setting your goal for the fit-out, you must pay attention to the period. Generally, this is the summary of the things that you need to work out: 

• Concept design and estimated construction costing – 5 to 15 days 

• Detailed designs, structure map, and approvals – 10 to 30 days 

• Construction period – 20 to 60 days 

By using this time frame, you can be able to estimate the completion date of the commercial fit-out. 

2. Map The Structure Of The Interior Area 

After considering the budget and time, you should start creating the guidelines for the fit-out construction. You must list down all the ideas and concepts that you prefer to achieve the interior design that you desire. Estimate the workspace that you need to position the staff and workgroups, allocate the office furniture, fixture, and other assets as well as create cubicles in the office. 

You must ensure that you set an area for your recruitment, meetings, board rooms, breakout rooms, storage, power, internet, and IT-related room, training rooms, and more. By considering all these facilities, you will know what location to look for and how much space do you need to make your work successful. 

3. Find The Best Location 

Now, you have the budget, plan, and blueprint for your office space, it’s time to hunt for the best location. In checking out the lease areas, you must check the structure of the facility such as the toilets, kitchen, and other rooms. 

You also need to consider the space, location, and accessibility. If most of the employees work nearby the area, then it would be a better workplace to accommodate everyone. Aside from the facilities and venue, you need to check the conditions of the fixtures, such as air ventilation, lighting, water supply, and more. 

Moreover, you need to bring an engineering expert to check the conditions of the floor, wall, and ceiling. Lastly, you need to check the lease terms and conditions if they met your planned budget and time. 

4. Hire Quality Commercial Design And Fit-Out Company 

Now, it’s the perfect time to hire a quality commercial fit-out company. Even if you have an engineer, and architect staff, you still need to consider the third-party companies to help you with the interior office space. 

These experts will be working with your internal employees, such as engineers, architects, and construction workers. Generally, these companies can help you look for the furniture, fixture, and construction materials that you need for the fit-out. If you’re from New South Wales, they can recommend the best Sydney building supplies in the nearby area. You don’t need to spend too much time canvassing and surveying all the suppliers in the city. 

Moreover, you must check if the fit-out and construction company has an Australian licensed and if they have a builder registration and permit. 

5. Assess The Fit-Out And Design Proposals 

You might have chosen the commercial fit-out company, and you need to ask for their blueprint and recommendation. In the timeframe, you must consider around five to fifteen days of discussion with the final design. You need to check and assess their proposals to know which blueprint agrees to your interior design objectives. 

Of course, you also need to listen to the ideas and concepts from your internal staff as well. If there are any issues, you must not hesitate to raise questions and determine how to solve these circumstances. 

6. Read The Contract Properly 

Before approving the contract, you need to spend time reading it thoroughly. Make sure that you understand the agreement, terms, and conditions for the fit-out construction. If there are any issues, you can consult legal advice to help you. 

You must set a meeting with the team and ask them their concerns or questions. You should talk to your internal employees, including the engineering head, architect, and accountant. To have an idea what are the contents of a contract, these are the basic terms and conditions as follows: 

• Obligations of the parties involved 
• Timeframe for setting out the initial phase and completion date 
• Scope of the work and costs 
• How to deal with any issues or variations 
• Property insurance 
• Payment details 
• Retention and Snagging 
• Disputes, breach of the contract, and default suspension 
• Liability defects periods 
• Any specific details for assumptions and exclusions 

7. Check The Detailed Design And Approved Papers 

Before the commencement of the construction, you need to review all the plans, budget, costing, blueprints, licenses, and permits. You also need to make sure that you advised the landlord or the real estate agent to avoid any violation of the lease terms. 

If you need the insurance and permits for the building, you must liaise with the landlord. If you need to revert the facility to its original state, you must not build any permanent building modifications to the property. Although you may acquire the right to use as a tenant, the leasehold improvement will still be owned by the landlord at the expiration of the lease. 

You can always consult the fit-out company and seek any legal advice so that you can proceed with your final decision. 

8. Monitor The Construction Progress 

When the construction commences, you must establish regular meetings and monitoring updates to oversee the ongoing progress. Check the blueprint and contracts to see if the conditions and specifications are met. If there are any changes to be made, make sure to discuss it with the team immediately. You must also need to check whether the construction materials and supplies are ready for delivery and use. 

Since you are still paying for the rent, you need to ensure how the payment for the construction will be. You need to come up with a convenient schedule so that you won’t miss any payments, and the fit-out project will be completed on time. Moreover, check the health and safety protocols whether they are put in place properly. 

The Verdict 

The fit-out construction process may involve a series of steps before the construction starts. It may sound too technical for you to understand everything immediately, but this is a crucial project to deal with. Furthermore, you need to set aside a large budget to improve the internal design and structure of the office. With this regard, you need to make sure that the benefits will outweigh the costs. Hence, you need to plan the details carefully and consult the experts to make the commercial fit-out successful.

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